Report: Umpqua Bank knew 1031 exchange diverted money from clients’ accounts:

"" Jeff Manning reported while I was gone about the contents of a report from the bankruptcy trustee for Bend-based Summit Accommodators.

A federal just relesed the trustee’s report after Umpqua Bank fought to keep portions of it secret.

Manning reports: Umpqua Bank knew as early as March 2007 that the owners of Bend-based Summit Accommodators were diverting millions of dollars from their clients' accounts to fund their own real estate projects, according to a newly issued report by the court-appointed bankruptcy trustee.

Rather than blow the whistle on what may well turn out to be one of the landmark criminal fraud cases to come out of Oregon's real estate crash, Umpqua kept quiet, continued to reap substantial dividends from the large deposits Summit offered and helped finance some of the real estate projects with $6.3 million in loans, the report claims. ""

Source of Post
http://blog.oregonlive.com/frontporch/2010/01/top_5_zgf_hoffman_deliver_opul.html